On-chain evidence suggests that FTX has ceased processing withdrawals


The cryptocurrency exchange FTX seems to have ceased processing withdrawal requests, according to data on the blockchain.

On-chain data indicates that crypto exchange FTX, which is presently engaged in a dispute with competitor Binance, has ceased processing withdrawal requests from customers.

The latest transaction from FTX on the Ethereum blockchain occurred more than two hours ago, at 6:37 a.m. ET, according to statistics from Etherscan. The situation is comparable on the Tron and Solana blockchains, as shown by on-chain data. A spokesman for the exchange did not reply promptly to The Block’s request for comment.

“It looks that FTX has ceased processing on-chain withdrawals from at least their primary wallets on Ethereum, Solana, and Tron,” stated The Block research researcher Steven Zheng. This is odd since there are likely still others waiting in line for withdrawals.

FTX has seen customer withdrawals after Binance CEO Changpeng Zhao announced that the exchange will begin selling its FTT token holdings. Zhao cited “recent disclosures” as the reason for the move, presumably referring to a CoinDesk investigation that exposed the financial data of Alameda Research’s sibling company.

The CEO of FTX, Sam Bankman-Fried, attempted to calm the market after Zhao’s remarks. He said yesterday that the exchange is “fine” and urged FTX and Binance to collaborate for the industry’s sake. Caroline Ellison, CEO of Alameda, has offered to purchase Binance’s FTT holdings at $22 per token.

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